US DOJ Seizes $52M from Chinese Scam Marketplace Xinbi Guarantee

The US Department of Justice's Scam Center Strike Force has made significant progress in dismantling Chinese organized crime, seizing control of Xinbi Guarantee, a scam marketplace operating on Telegram. The operation resulted in the restraint of approximately $52 million in cryptocurrency.

Xinbi ran primarily on Telegram in Chinese, allowing vendors to advertise services to scam operators. These services included creating custom fraud investment websites and laundering stolen funds.

The Strike Force seized two crypto wallets used by Xinbi for vendor payments, worth around $12 million, and sought restraint of 47 more wallets tied to the network. The Treasury's Office of Foreign Asset Control (OFAC) designated Xinbi a transnational criminal organization, freezing any US-held assets.

U.S. Attorney Jeanine Pirro stated that ordinary Americans are at risk due to the nature of these scams, emphasizing the need for continued action against Chinese organized crime and its facilitators.